Chip Stock InvestorPublished 2026-09-04
“Is PRCT a Value Trap After Its 80% Crash? We Ran the Numbers”
$PRCTBearish
PRCT is a value trap; avoid owning unless structural changes occur due to repeated guidance misses and deteriorating margins.
Procept BioRobotics, razor and blade business model, 65% gross margins, Medicare coverage in all 50 states, and a procedure that's basically second only to TURP among resective treatments for an enlarged prostate.
The stock is down roughly about 80% from its highs in 2025, and this is an episode about a product that clearly works, attached to a business that has never generated positive cash flow, and that has revised guidance downward a number of times over the last year.